Egypt-focused UK firm Capricorn Energy (formerly Cairn) is set to merge with Africa-focused compatriot Tullow Oil through an all-share deal, creating a new company with net output of around 100,000 boe/d, the firms said on 1 June. The two companies hold a combined market capitalization of £1.4bn ($1.8bn).
All of Capricorn’s current production comes from its 2021 entry into Egypt with its joint purchase of Shell’s Western Desert acreage alongside local firm Cheiron (MEES, 12 March 2021). Capricorn netted an average of 36,500 boe/d (around 13,000 b/d of liquids) from Egypt between the deal’s completion in Q3 and the end of 2021. It has plans to boost this to 37,000-43,000 boe/d in 2022 for gross regional output of around 80,000 boe/d (MEES, 13 May). (CONTINUED - 222 WORDS)